Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Joseph Stiglitz on Economic Growth After World War II

I recently sat down with Nobel Prize-winning economist Joseph Stiglitz to talk about economic growth.

Stiglitz has done a lot of work on the distribution of wealth throughout economies, and how it impacts growth over time. In this video, he talks about some of the changes to the economy after World War II and how they affected growth. Transcript follows.

Joseph Stiglitz: The period after World War II was a period in which we grew together, inequality came down, and it was a period in which the economy grew faster than in, say, the period after 1980, where we grew apart and we grew more slowly. The important lesson of that, which is that you can grow faster, I think, with a more equal society that actually is part of the price of inequality that we pay.

What do we do? I think there were a number of things that we did. We regulated the banking system more. One of the things that were really important was after World War II, we passed the GI Bill. The GI Bill meant that everybody, everybody who had fought, which was essentially everybody in our society, or at least all the men in our society, had access to a higher education. Inequality in access to education was reduced enormously in those years after World War II.

Read/Post Comments (3) | Recommend This Article (6)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On May 02, 2013, at 11:01 AM, SkepikI wrote:

    ^ I bet you a beer this guy knows no veterans and has never met a combat veteran from WWII like my dad, one of the beneficiaries of the GI bill. The idea that "equality in access to education" had much of anything to do with it is the kind of purely academic drivel found in our university OZ.

    Only an academic would think that the people who walked across Europe, survived dreadful conditions as well as deadly encounters with the veteran warriors of the most successful army of the time and liberated concentration camps, might have been intimidated or thwarted when it came to educating themselves.....

    A 4th generation citizen warrior and veteran -me- finds this laughable.

  • Report this Comment On May 02, 2013, at 11:31 AM, XMFGortok wrote:

    The tax rate fell precipitously after WWII. Of course, that wasn't mentioned in the text.

  • Report this Comment On May 02, 2013, at 11:46 AM, TMFMorgan wrote:

    <<The tax rate fell precipitously after WWII.>>

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2403831, ~/Articles/ArticleHandler.aspx, 9/28/2016 8:09:15 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,339.24 110.94 0.61%
S&P 500 2,171.37 11.44 0.53%
NASD 5,318.55 12.84 0.24%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes